After being traded at 1.3396 in last February 20, the EUR/USD has finally reached a new peak this Wednesday, surpassing the 1.3400 barrier during the afternoon. This happens precisely in the day where FOREX markets are expected to be vulnerable to a big reaction, as the US Federal Reserve prepares to announce its intentions regarding their Quantitative Easing program and implementation plans. This unconventional monetary policy might suffer some changes, but according to previous statements released by the FED, that will only happen if the central banking system sees any improvement in the US economy, especially within the American employment market.
The Euro has managed to appreciate against the US dollar and several other currencies on a steady rhythm over the past few months. The Euro zone has been showing positive signs one after another and this week, it has been time for one of its most important economies to give another push. The German Zew Index ended up rising slightly more than expected (from May’s 36.4 to 38.5, instead of the predicted 38.1) and with that, the EURO seems to have become a bit stronger. The ZEW Index survey results suggest that analysts truly hope that Germany will be capable of gradually getting back to substantially good growth rates, during the second semester of 2013 that is right around the corner. We recommend this german broker – BDSwiss.com to try out and see a bit of change you’d like to turn into a small fortune, also you can try out list of top brokers in the region here just in case! :).
This week has also been under the radars in all markets for another big reason. The G8 summit gathered in Northern Ireland last Monday, for a meeting where aside from the talks concerning the US decision of arming the Syrian rebels, there’s also a big expectation to know how the negotiations over the new free trade agreement between the United States and the European Union take off. This deal has the potential to bring big benefits to both sides, as it could end up adding up to 100 billion dollars to the two economies. However, the whole negotiations are still on a very premature stage and talks are expected to carry on in Washington next month, in order for a deal to be obtained near the end of 2014.